Macquarie (ASX:MQG) shares reached a new record high after its latest trading update.

The update came ahead of a company presentation to the Jefferies Asia Forum, which is being held later this week as a virtual gathering.

Macquarie – which uses April 1-March 31 as its financial year – made a profit of over $3 billion in FY21 and many of the catalysts that aided its markets and annuities businesses have been continuing.

Its annuity businesses grew thanks to higher average volumes – lending volumes from Banking and Financial Services and investing volumes from Macquarie Asset Management.

Its market facing businesses (Commodities and Global Markets and Macquarie Capital), which contributed 53% of the company’s FY21 result, rose.

Macquarie credited higher investment-related income although the sale of its UK commercial and industrial smart meter portfolio was a significant contributor.

It also boasted $85.7 billion in total customer deposits and $26.4 billion in Basel III group capital – money a bank is required to maintain under the Basel III Accord.


First half profit down

Nevertheless, Macquarie indicated that its profit for the 6 months ending September 30 2021 would be slightly down on the 6 months to March 31 2021.

It blamed the Macquarie Infrastructure Corporation disposition fee although noted the Commodities and Global Markets result could come in better than expected.

The company said several other factors could influence the outlook including market conditions amidst COVID-19, tax and regulatory changes and the impact of foreign exchange fluctuations.

“We continue to maintain a cautious stance, with a conservative approach to capital, funding and liquidity that positions us well to respond to the current environment,” it told shareholders.

Macquarie’s shares on the ASX rose by as much as 6% this morning.

Its shares are up 41% in the past 12 months, 124% in the past five years and nearly 700% in the past decade.

Macquarie (ASX:MQG) share price chart